Morning Movers: Soleno pops, Neurocrine dips after acquisition agreement

After last week’s volatility, futures are modestly higher. Markets are starting the week in a cautious holding pattern, caught between tentative optimism and very real escalation risk. The core drivers remain geopolitics and oil. Over the weekend and into today, headlines have pulled in opposite directions. On one hand, there are reported to be active discussions around a potential 45-day ceasefire between the U.S. and Iran, which has helped stabilize sentiment and even push oil lower at moments. On the other hand, renewed threats around striking Iranian infrastructure are keeping crude elevated around the $110 range and preventing a full risk-on move.

Oil remains the swing factor and is volatile. Meanwhile, bond yields are edging higher again, reflecting persistent inflation concerns tied to energy prices and a growing belief that the Federal Reserve will stay on hold longer than previously expected.

Energy names are losing some momentum on any dip in oil, while crypto-linked stocks and risk assets are seeing inflows as Bitcoin pushes back toward recent highs. At the same time, broader equity participation remains uneven.

In pre-market trading, S&P 500 futures rose 0.14%, Nasdaq futures rose 0.43% and Dow futures fell 0.02%.

Check out this morning’s top movers from around Wall Street, compiled by The Fly. 

HIGHER –

• Soleno Therapeutics (SLNO) up 32% after Neurocrine Biosciences (NBIX) entered into a definitive agreement to acquire Soleno for $53.00 per share in cash
• Twilio (TWLO) up 3% after Jefferies upgraded the stock to Buy from Hold with a price target of $160, up from $125
• Amkor Technology (AMKR) up 2% after Melius Research upgraded shares to Buy from Hold with a $60 price target
• Netflix (NFLX) up 2% after Goldman Sachs upgraded the stock to Buy from Neutral with a price target of $120, up from $100

LOWER –

• Legence (LGN) down 3% after filing to sell 11M shares of Class A common stock for holders
• Dow Inc. (DOW) and LyondellBasell (LYB) both down 3% after BofA downgraded the stocks to Underperform from Neutral
• Neurocrine Biosciences (NBIX) down 2% after the company and Soleno Therapeutics (SLNO) announced a takeover deal
• Carvana (CVNA) down 1% after BofA downgraded shares to Neutral with a price target of $360, down from $400